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Stock Market

What is Stock Split? — Meaning, Definition & Example

Definition

A stock split is a corporate action where a company divides its existing shares into multiple shares, reducing the face value proportionally. A 1:1 split doubles the number of shares at half the face value. The total investment value remains unchanged but improves affordability and liquidity.

💡 Real Example

If Reliance does a 1:5 split, one ₹2,500 share becomes 5 shares of ₹500 each — you still own the same value, but more shares.

🇮🇳 Stock Split in Hindi / हिंदी में

स्टॉक स्प्लिट — स्टॉक स्प्लिट एक कॉर्पोरेट एक्शन है जिसमें कंपनी अपने मौजूदा शेयरों को कई शेयरों में विभाजित करती है।

Stock Split (Hinglish) — Stock split mein company apne existing shares ko multiple shares mein divide kar deti hai. Total value same rehti hai lekin shares zyada ho jaate hain.

❓ Frequently Asked Questions

What is Stock Split in simple words?
A stock split is a corporate action where a company divides its existing shares into multiple shares, reducing the face value proportionally. A 1:1 split doubles the number of shares at half the face value. The total investment value remains unchanged but improves affordability and liquidity.
Can you give an example of Stock Split?
If Reliance does a 1:5 split, one ₹2,500 share becomes 5 shares of ₹500 each — you still own the same value, but more shares.
What is Stock Split meaning in Hindi?
In Hindi, Stock Split is called स्टॉक स्प्लिट. स्टॉक स्प्लिट एक कॉर्पोरेट एक्शन है जिसमें कंपनी अपने मौजूदा शेयरों को कई शेयरों में विभाजित करती है।